New State pension

greenglide

That's not too bad then especially as there will be another year added 2015/2016 .

and at age 50 or so there is plenty of time to reach the maximum by further contributions

rammy007

That's what I thought,not quite 50 yet though in fact not 49 till next month,so even if I take early retirement at 55 it shouldn't be too far away from the new flat rate pension amount .

molerat

dunstonh wrote: »

A certainly Daily Mail ran an article and judging by the comments, most in there didnt understand contracting out with an occupational defined benefit scheme and wrote a load of rubbish.

But everybody is going to be able to claim a flat rate pension from next year - it says so in This Is Money, financial website of the year, so it must be true http://www.thisismoney.co.uk/money/pensions/article-3226942/Generation-women-betrayed-state-pension-Susan-die-claims-Wendy-faces-poverty-waiting.html

From April next year, everyone reaching state pension age will be able to claim a new flat rate payout of £148.40 a week.

No wonder people are confused when the financial press are printing totally inaccurate information like this.

rammy007

I think if it's printed by that newspaper it has to be taken with a rather large pinch of salt.

bigfreddiel

ajbell wrote: »

Picked up a paper today and saw that it suggested that i would not get the full new state pension if i have paid into a defined benefit pension.


I am 50 and have worked continually since 16.
I have been fortunate enough to have been in 2 defined benefit pensions. The only time i have not been paying into one is between 2001 and 2005 when presumably i was contracted back in?. So where does this leave me with the state pension?.

And of course you fail to mention that while you were in a db scheme you paid a lower NI rate so you can hardly expect to get something you haven't paid for, namely a full flay rate pension. Just imagine how those that were contracted in and paid a full NI amount would feel if those who hadn't paid the full NI got the same state pension. Wouldn't they feel like they had been cheated?
cheers fj

ajbell

I am not one of those that expects something for nothing so i suppose that is fair. Just wanted some clarity.

p00hsticks

molerat wrote: »

But everybody is going to be able to claim a flat rate pension from next year - it says so in This Is Money, financial website of the year, so it must be true http://www.thisismoney.co.uk/money/pensions/article-3226942/Generation-women-betrayed-state-pension-Susan-die-claims-Wendy-faces-poverty-waiting.html

Molerat, I know from previous post of yours (and the subtle emoticon) that you are being sarcastic and that this article is mainly a load of hokum, but I think you need to make it clearer.

Everyone will NOT be entitled to a "flat rate" pension from next year.

p00hsticks

rammy007 wrote: »

That's not too bad then especially as there will be another year added 2015/2016 .i have been contracted out for the whole of my working life as still in the same job and pension scheme albeit closed now to new members

As you've already got over the 30 years contributions required under the current rules, I'm not sure the 2015/16 year will add anything to your starting amount of £129.56.

However, once the new rules come in from April 6th next year, my understanding is that every further NI year paid beyond that date will add 1/35th of the new state pension amount to your starting amount, up to the cap of around £155

rammy007

I don't see why it shouldn't add 2015/2016 on because after all it's another years contributions ,if not surely that year is lost. The amounts I was given were £13.61 and £115.95 totaling £129.56,surely the foundation amount is based on the rules after April 2016. My scheme is a DB scheme and tbh until I recently started looking into pensions I didn't realise I was paying lower national insurance contributions,i was 17 at the time I was automatically enrolled into my pension scheme and probably like most 17 year olds today didn't have a clue,also I never had any paperwork given to me at the time fully explaining things just got a yearly pension statement.

jem16

rammy007 wrote: »

I don't see why it shouldn't add 2015/2016 on because after all it's another years contributions the amounts I was given were £13.61 and £115.95 totaling £129.56,surely the foundation amount is based on the rules after April 2016.

As you have already got more than 30 years, the basic £115.95 is not going to increase with an extra year for 2015/16.

The only thing that could increase was the £13.61 which is presumably some SERPS/S2P but yet you say you have been contracted out for the whole of your working life so what do they say the £13.61 is for?